Africa-Press – Rwanda. On the sidelines of the World Economic Forum in Davos, President Paul Kagame on Tuesday, January 16, met with Jakob Stausholm, CEO of mining giant Rio Tinto for a discussion on partnerships and investment opportunities in Rwanda’s mining sector, according to Village Urugwiro.
Rio Tinto, a global leader in the exploration, mining, and processing of minerals such as aluminium, copper, and lithium, has previously expressed interest in investing up to $7.5 million in the Rwandan sector.
In early August 2023, Rio Tinto, UK-based mining company Aterian, and Kinunga Mining signed a joint venture agreement to explore lithium in Rwanda.
As The New Times reported in August, the agreement indicates that Rio Tinto has the option to invest $7.5 million in two stages to earn up to a 75 per cent interest in the license to explore minerals vital for a successful energy transition to renewable energy.
The joint venture project has identified 19 pegmatite zones for lithium, caesium, and tantalum over 2,750 hectares in Southern Province. Lithium is a key metal in the production of rechargeable batteries used in electric vehicles (EVs), laptops, and cell phones and is used in glass and ceramics.
In 2023, lithium demand was forecast to reach 900,000 tonnes, a 27 per cent increase from 2022, according to Benchmark Minerals, which assesses market prices and provides supply chain intelligence for lithium-ion batteries.
Demand for lithium is forecast to be 1.5 million tonnes in 2026.
Mineral export revenues grew from $71 million in 2010 to over $772 million in 2022.
Rwanda’s mining sector generated $851.6 million (approx. Rwf1 trillion) in export revenues from January to September 2023, representing an increase of 45.6 per cent compared to $584.8 million recorded during the same period in 2022.
The government targets $1.5 billion in annual mineral export revenues by 2024.
Rwanda Mining, Petroleum and Gas Board says the country’s mineral reserves are valued at over $150 billion.
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